| TRADE RECEIVABLES, OTHER RECEIVABLES AND PREPAYMENTS |
NOTE 19 — TRADE RECEIVABLES,
OTHER RECEIVABLES AND PREPAYMENTS
| | |
As at
March 31,
2026 | | |
As at
March 31,
2025 | |
| Trade receivables | |
$ | 3,781,382 | | |
$ | 4,655,951 | |
| Allowance for expected credit losses | |
| (5,829 | ) | |
| - | |
| Total | |
$ | 3,775,553 | | |
$ | 4,655,951 | |
The aging analysis of trade receivables is as
follows:
| | |
As at
March 31,
2026 | | |
As at
March 31,
2025 | |
| Less than 90 days | |
$ | 1,958,709 | | |
$ | 2,589,404 | |
| 90-180 days | |
| 388,897 | | |
| 1,408,516 | |
| 180-365 days | |
| 1,331,944 | | |
| 658,031 | |
| >365 days | |
| 101,832 | | |
| - | |
| Total | |
$ | 3,781,382 | | |
$ | 4,655,951 | |
The breakdown of other receivable and prepayments is as follows:
| | |
As at
March 31,
2026 | | |
As at
March 31,
2025 | |
| Prepayments (1) | |
$ | 5,956,451 | | |
$ | 163,366 | |
| Receivable of investment liquidation proceeds (2) | |
| 1,431,925 | | |
| - | |
| Prepaid expenses | |
| 366,849 | | |
| - | |
| Deposits and advance to employees for business purpose | |
| 236,873 | | |
| 284,546 | |
| Impairment for doubtful accounts (3) | |
| (37,054 | ) | |
| - | |
| Total | |
$ | 7,955,044 | | |
$ | 447,912 | |
| (1) | Prepayments include advances to suppliers and prepaid expenses.
As of March 31, 2026, included within prepayments, an amount of $5,750,000 represents an advance payment made to a supplier for the procurement
of a consignment of Chinese medicinal materials. |
| (2) | During the year ended March 31, 2026, the Company negotiated with the
fund manager to early redeem the investment in several installments with the final payment extended to June 30, 2026 at the latest. As
of March 31, 2026, $900,000 was received. The final instalment amount of $1,431,925, with latest payment date of June 30, 2026, was recorded
as receivable of investment liquidation proceeds. As of June 26, 2026, the receivable was fully collected. |
| (3) | A prepayment of $37,054 to a supplier was determined to be
irrecoverable, and a full valuation allowance was recorded as at March 31, 2026. |
Prepaid expenses represent the IT security expense
prepaid for a year, yet to be amortized.
Deposits represent the deposit for rentals or
utilities.
The fair value of trade and other receivables
have not been disclosed as, due to their short duration, management considers the carrying amounts recognized in the consolidated statements
of financial position to be reasonable approximation of their fair values. No credit term is granted to debtors.
|